Annual report 2011

The Board of Directors of SP Group has today discussed and approved the annual report for 2011, which is enclosed in its entirety.

Q4 2011

In Q4 2011, SP Group sold for approx. DKK 250.3 million, which was 13.4% more than in the same period the year before.
EBITDA increased to DKK 24.4 million from DKK 17.7 million in the same period the year before.
Profit before tax and minority interests improved by DKK 1.9 million reaching DKK 8.7 million.
In Q4, cash flows from operating activities amounted to DKK 67.0 million. DKK 11.8 million was used on investments, and DKK 7.6 million net was paid on non-current liabilities. The change in cash and cash equivalents was therefore positive by DKK 47.6 million.

2011

Revenue increased by 14.7% to DKK 976.8 million compared to 2010.
Sales to cleantech customers increased by 26.8% and now account for 25% of revenue.
Foreign sales now account for 49.7% of revenue.
EBITDA increased to DKK 96.5 million from DKK 83.0 million in 2010.
EBIT increased to DKK 52.8 million from DKK 41.7 million in 2010.
Profit before tax and minority interests improved by DKK 5.5 million reaching DKK 34.3 million.
Cash flows from operating activities were positive and amounted to DKK 66.9 million, which is an increase of DKK 9.1 million compared to 2010.
Net interest-bearing debt was reduced by DKK 12.4 million to DKK 355.0 million at the end of 2011.
The Board of Directors proposes dividends of DKK 2.00 per share (2010: 0) to the annual general meeting

Follow-up on previously published expectations

Profit for the year corresponds to the most recently published expectations of DKK 30-35 million.
Revenue amounted to DKK 976.8 million, which also corresponds to the most recently published expectations.
Cash flows from operating activities exceed investments and instalments on long-term loans for the year as announced.
Cash flows were positively affected by inventory adjustments, sale of selected debt and the sale of a minor property.

Outlook for 2012

Global economy is also expected to grow in 2012, but it is still fragile.
In the neighbouring markets in Europe, a low growth rate is expected in the economy in general.
A number of countries have very large deficits on public finances and a large debt.
SP Group will launch a number of new products and solutions to customers, especially in health care, cleantech and food-related industries. These are expected to contribute to both growth and earnings.
The largest single investment is expected to be made in the medical device activities.
Depreciation and amortisation are expected to be realised at a higher level than in 2010.
Financial expenses are expected to be realised at a slightly lower level than in 2011.
Strict cost control, early capacity adjustment and continued strong focus on risk management, cash management and capital management provide a good basis for the Group in the future.
We expect increased profit before tax and non-controlling interests in 2012 compared to 2011 and a higher level of activity, but the market prospects for the year are still uncertain.

CEO Frank Gad says: '2011 was our best year so far in terms of both profit and cash flows from operating activities. We expect to perform even better in 2012 if the global economy continues its positive development.'

Read the report here:

Best regards

Niels K. Agner

Chairman of the Supervisory Board

Frank Gad

Chief Executive Officder

undefined

Incase of any discrepancies, the Danish version shall prevail.